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In the Navy, the rank of O-7 is represented by a rear admiral (lower half), and the insignia for this rank is indeed one two-inch gold bar. This particular design distinguishes O-7 from lower officer ranks, allowing for quick identification of an officer's position within the Navy hierarchy. The two-inch gold bar serves as a clear visual cue representing the authority and responsibility associated with this specific rank.

Understanding insignia and their sizes is essential for recognizing the ranks and ensuring proper protocol in the Navy, as each insignia has its unique dimensions and placements that signify different ranks.